Download App
HomeOur StoryMethodologyLearnFAQs

IOB PPF Calculator

₹
Yr
Rate of interest p.a
7.1%
Total invested₹ 75,000
Total interest₹ 60,607
Maturity value₹ 1,35,607
Invested amountTotal returns

The IOB PPF calculator is a valuable self-help tool designed to help investors calculate the maturity value and interest they can earn from the scheme. It allows investors to explore different investment amounts and tailor their PPF investments to align with their financial goals.

The Public Provident Fund (PPF) serves as a tax-saving instrument aimed at building a substantial corpus for investors. Contributions can be made in installments or lump sums, with the interest rate being revised by the Central Government every quarter. PPF also offers the flexibility of availing loans against the scheme.

How Does The IOB PPF Calculator Work?

The IOB PPF calculator computes your maturity amount using the following formula:

M = P [(1 + i)^n - 1) / i] x (1 + i)

Where:

M is the maturity amount
P is the annual contribution
i is the annual interest rate
n is the number of years

Example:

Suppose you plan to invest ₹82,000 annually in PPF for 15 years, with the current interest rate for PPF at 7.1%. Using the calculator formula, you can calculate your maturity amount:

M = 82,000 x [(1 + 0.071)^15 - 1] / 0.071 x (1 + 0.071) M = ₹22,23,950 (approximately).

By investing ₹82,000 every year in PPF for 15 years, you can accumulate a maturity amount of over ₹22 lakhs.

How Should You Use The IOB PPF Calculator?

The IOB PPF calculator is user-friendly and can be used by investors, including beginners. Here's how to use it:

Step 1: Enter the annual investment amount for PPF.
Step 2: Specify the number of deposits you plan to make.
Step 3: The PPF tenure is pre-set at 15 years, and the interest rate aligns with the current rate offered by the scheme.
Step 4: Once you've entered this information, the calculator will provide the maturity amount, interest earned, and the total investment amount.

Example:

Let's consider Mr. Lambert, who plans to invest ₹99,000 every year in PPF for 20 years. Using the formula, we can calculate the maturity amount of his PPF investment:

M = 99,000 x [(1 + 0.071)^20 - 1] / 0.071 x (1 + 0.071) M = ₹43,94,469 (approximately).

By investing ₹99,000 every year in PPF for 20 years, Mr. Lambert can build a corpus of nearly ₹44 lakhs.

Benefits Of Using The IOB PPF Calculator

Using the IOB PPF calculator offers several benefits, including:

  • Provides accurate details compared to manual calculations.
  • Helps investors get an overview of the returns they can expect from their investments.
  • Is free to use and easily accessible at any time.
  • Allows investors to input multiple values to determine returns that align with their financial goals.

IOB PPF Calculator - Frequently Asked Questions (FAQs)

What is the tenure for PPF?
The PPF account comes with a lock-in period of 15 years. However, it can be extended in a block of 5 years after the 15-year maturity period.
Can I transfer my PPF account?
You can transfer your PPF accounts between authorized banks and post offices. The PPF account will be regarded as a continuous account in this scenario.
How much amount will I receive after 15 years?
The maturity amount would depend on how much money you have invested, the interest rate, and the investment duration.
Can I have a joint PPF account?
No. You cannot have a joint PPF account.
Can an NRI open a PPF account?
No. Non-resident Indians are not eligible to open an account under the PPF scheme.